Divide widens in business banking
(13 May 2009 – Australia) The divide between big and small businesses in sentiment towards their bank continues to widen as small businesses become increasingly dissatisfied, according to the latest East & Partners’ Business Banking Sentiment Index (BBSI).
Micro Businesses (annual turnover of A$1 to 5 million) and the bigger Mid Corporate businesses (annual turnover of $20 to 100 million) have traditionally had a very different view towards their business bank.
The start of 2009 has seen an increase in this divide, with Micro Businesses even less happy with their bank and Mid Corporate business sentiment towards banks continuing to grow.
Out of a possible score of 100, Micro Businesses rate their bank in sentiment at just 21.1 in April 2009, compared with a very health 84.8 for Mid Corporate businesses.
Micro Businesses have become increasingly unsatisfied, particularly in the current credit climate, and have become much less loyal to their bank.
The Sentiment Score is an aggregated rating metric comprising four different measures of customer sentiment – Empathy, Satisfaction, Loyalty and Advocacy.
The overall sentiment score for April 2009 was 38.4 (out of 100), a decrease from last month’s score of 39.0 and the lowest score since the BBSI started in mid 2006.
Of the Big Four, no bank saw an increase in sentiment this month, with Westpac and ANZ taking the biggest hits. NAB maintains the top Big Four sentiment rating, with a score of 54.4 this month.
Of all the banks, just two banks managed to increase their sentiment this month, Bank of Queensland and St George.
The best bank this month in sentiment was Bank of Queensland, with a score of 69.5. Customers of St George are the most satisfied of any bank in April 2009, with a total score of 70.4.
Each month, East & Partners’ research team conducts telephone interviews with a sample of 750 businesses nationally, providing an in depth study of businesses in the A$1 to 5 million, $5 to 20 million and $20 to 100 million turnover segments across Australia.
The start of 2009 has seen an increase in this divide, with Micro Businesses even less happy with their bank and Mid Corporate business sentiment towards banks continuing to grow.
Out of a possible score of 100, Micro Businesses rate their bank in sentiment at just 21.1 in April 2009, compared with a very health 84.8 for Mid Corporate businesses.
Micro Businesses have become increasingly unsatisfied, particularly in the current credit climate, and have become much less loyal to their bank.
The Sentiment Score is an aggregated rating metric comprising four different measures of customer sentiment – Empathy, Satisfaction, Loyalty and Advocacy.
The overall sentiment score for April 2009 was 38.4 (out of 100), a decrease from last month’s score of 39.0 and the lowest score since the BBSI started in mid 2006.
Of the Big Four, no bank saw an increase in sentiment this month, with Westpac and ANZ taking the biggest hits. NAB maintains the top Big Four sentiment rating, with a score of 54.4 this month.
Of all the banks, just two banks managed to increase their sentiment this month, Bank of Queensland and St George.
The best bank this month in sentiment was Bank of Queensland, with a score of 69.5. Customers of St George are the most satisfied of any bank in April 2009, with a total score of 70.4.
Each month, East & Partners’ research team conducts telephone interviews with a sample of 750 businesses nationally, providing an in depth study of businesses in the A$1 to 5 million, $5 to 20 million and $20 to 100 million turnover segments across Australia.
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